(REPRINTED WITH ADOPTED AMENDMENTS)
FIRST REPRINT A.B. 28
Assembly Bill No. 28–Assemblyman de Braga
Prefiled January 22, 2001
____________
Referred to Committee on Education
SUMMARY—Revises provisions governing sale of certain school property. (BDR 34‑822)
FISCAL NOTE: Effect on Local Government: No.
~
EXPLANATION
– Matter in bolded italics is new; matter
between brackets [omitted material] is material to be omitted.
Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).
AN ACT relating to school property; providing a procedure for the sale of a house or other structure built by pupils enrolled in a program of instruction offered by a public school; and providing other matters properly relating thereto.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
1-1 Section 1. Chapter 393 of NRS is hereby amended by adding thereto a
1-2 new section to read as follows:
1-3 1. The board of trustees may, after complying with any other
1-4 applicable provision of NRS 393.220 to 393.325, inclusive, sell any house
1-5 or other structure built by pupils enrolled in a program of instruction
1-6 offered by a public school in the school district by accepting written
1-7 proposals for the purchase of the house or structure at any public
1-8 meeting held by the board of trustees.
1-9 2. If the board of trustees proposes to sell a house or other structure
1-10 built by pupils enrolled in a program of instruction offered by a public
1-11 school in the school district and wishes to give an exclusive listing to a
1-12 real estate broker to sell the house or structure, the board of trustees
1-13 shall cause written notice to be published at least once in a newspaper of
1-14 general circulation within the county not less than 30 days before
1-15 adopting a resolution of intention to sell the house or structure pursuant
1-16 to the provisions of NRS 393.250. The notice must:
1-17 (a) Describe the house or structure in such a manner as to identify it;
1-18 and
1-19 (b) Include a statement indicating that:
1-20 (1) The board of trustees intends to adopt a resolution pursuant to
1-21 the provisions of NRS 393.250 and the proposed date for its adoption;
1-22 and
2-1 (2) If a real estate broker wishes to be included in a list of
2-2 prospective real estate brokers prepared pursuant to the provisions of
2-3 subsection 3, the real estate broker may provide a written notice of that
2-4 fact to the board of trustees not less than 10 days before the date
2-5 specified in subparagraph (1). To qualify for inclusion on the list, a real
2-6 estate broker must maintain an office within the county where the school
2-7 district is located.
2-8 3. Before adopting a resolution specified in subsection 2, the board
2-9 of trustees shall:
2-10 (a) Prepare a list that includes the name of each qualified real estate
2-11 broker from whom the board of trustees received a written notice
2-12 pursuant to the provisions of subparagraph (2) of paragraph (b) of
2-13 subsection 2; and
2-14 (b) Upon completion of the list, select by lottery a real estate broker
2-15 who maintains an office within the county where the school district is
2-16 located from the list.
2-17 4. If the board of trustees sells a house or other structure built by
2-18 pupils enrolled in a program of instruction offered by a public school in
2-19 the school district and if the purchaser of the house or structure was
2-20 procured by a real estate broker who was selected pursuant to the
2-21 provisions of subsection 3, the board of trustees shall pay a commission
2-22 to the real estate broker for the full amount for which the sale is
2-23 confirmed. If the real estate broker did not procure the purchaser of the
2-24 house or structure, the board of trustees shall pay one-half of the
2-25 commission on the full amount for which the sale is confirmed to the real
2-26 estate broker and one-half of the commission to the real estate broker
2-27 who procured the purchaser of the property.
2-28 5. The provisions of paragraph (c) of subsection 2 of NRS 393.250
2-29 and NRS 393.270 and 393.280 do not apply to the sale of a house or
2-30 other structure built by pupils enrolled in a program of instruction
2-31 offered by a public school in the school district.
2-32 Sec. 2. NRS 393.240 is hereby amended to read as follows:
2-33 393.240 1. Except as otherwise provided in [subsection 5] this
2-34 section and NRS 393.3251 to 393.3255, inclusive, [when] if the board of
2-35 trustees proposes to sell or lease any real property, the board shall appoint
2-36 one appraiser. A second appraiser must be appointed by the superintendent
2-37 of public instruction.
2-38 2. The appraisers shall make a report to the board of trustees of their
2-39 findings and determinations of the cash market value of the property
2-40 proposed to be sold, or the rental value of the property proposed to be
2-41 leased.
2-42 3. No sale or lease of real property may be made for less than the value
2-43 fixed by the appraisers, but this requirement does not apply to a
2-44 conveyance without charge to another political subdivision.
2-45 4. The compensation of [the appraisers] each appraiser appointed
2-46 pursuant to the provisions of this section must be fixed by the board of
2-47 trustees, and is a legal charge against the school district fund.
3-1 5. The board of trustees may sell real property without an independent
3-2 appraisal [where] if the property is reasonably determined by the board to
3-3 have a fair market value of $5,000 or less.
3-4 6. If the board of trustees proposes to sell a house or other structure
3-5 that is built by pupils enrolled in a program of instruction offered by a
3-6 public school in the school district, the report concerning the cash
3-7 market value of the house or other structure required to be submitted to
3-8 the board of trustees pursuant to the provisions of subsection 2 must be
3-9 prepared and submitted by an appraiser appointed by the board.
3-10 Sec. 3. NRS 393.245 is hereby amended to read as follows:
3-11 393.245 1. The board of trustees may sell or lease real property:
3-12 (a) To a responsible bidder in the manner provided by NRS 393.250 to
3-13 393.300, inclusive; or
3-14 (b) Through a licensed real estate broker. [No] Except as otherwise
3-15 provided in subsection 3, an exclusive listing may not be given. In all
3-16 listings, the board of trustees shall specify the minimum price or rental, the
3-17 terms of the sale or lease, and the commission to be allowed, which [shall]
3-18 must not exceed the normal commissions prevailing in the community at
3-19 the time.
3-20 2. [All] Except as otherwise provided in this subsection, all sales may
3-21 be made for cash, or for not less than 25 percent cash down and upon
3-22 deferred payments [over a period of] for not more than 10 years, secured
3-23 by a mortgage or deed of trust, bearing such interest and upon such further
3-24 terms as specified by the board of trustees . [shall specify.] The sale of a
3-25 house or other structure that is built by pupils enrolled in a program of
3-26 instruction offered by a public school in the school district may be for
3-27 cash or upon such terms and conditions as are determined by the board
3-28 of trustees.
3-29 3. If the board of trustees proposes to sell a house or other structure
3-30 built by pupils enrolled in a program of instruction offered by a public
3-31 school in the school district, the board of trustees may enter into a
3-32 brokerage agreement to list the house or structure with a real estate
3-33 broker who:
3-34 (a) Is licensed in this state;
3-35 (b) Maintains an office within the county where the school district is
3-36 located; and
3-37 (c) Has been selected by the board of trustees pursuant to the
3-38 provisions of section 1 of this act.
3-39 4. The provisions of this section apply to all sales and leases of real
3-40 property, except leases and rentals subject to NRS 393.3251 to 393.3255,
3-41 inclusive, but if an appraisal is required pursuant to the provisions of NRS
3-42 393.240 , the board of trustees shall not adopt the resolution described in
3-43 NRS 393.250 or otherwise commence bidding or listing procedures until
3-44 the [report of the appraisers] appraisal has been received.
3-45 Sec. 4. NRS 393.250 is hereby amended to read as follows:
3-46 393.250 1. Before ordering the sale or lease of any property, the
3-47 board of trustees shall, in an open meeting by a majority vote of the
3-48 members, adopt a resolution declaring its intention to sell the property, or a
3-49 resolution declaring its intention to lease it . [, as the case may be.]
4-1 2. The resolution [shall:] must:
4-2 (a) Describe the property proposed to be sold or leased in such a
4-3 manner as to identify it.
4-4 (b) Specify the minimum price or rental, and the terms upon which it
4-5 will be sold or leased, and the commission, if any, which [shall] must not
4-6 exceed the normal commissions prevailing in the community at the time,
4-7 which the board will pay to a licensed real estate broker.
4-8 (c) [Fix] Except as otherwise provided in section 1 of this act, fix a
4-9 time, not less than 3 weeks thereafter, for a public meeting of the board of
4-10 trustees to be held at its regular place of meeting, at which sealed proposals
4-11 to purchase or lease will be received and considered.
4-12 3. In addition to the requirements specified in subsection 2, if the
4-13 property proposed to be sold is a house or other structure built by pupils
4-14 enrolled in a program of instruction offered by a public school in the
4-15 school district and the board of trustees has listed the house or structure
4-16 with a real estate broker pursuant to the provisions of subsection 3 of
4-17 NRS 393.245, the resolution required pursuant to the provisions of this
4-18 section must include:
4-19 (a) The name, business address and telephone number of the real
4-20 estate broker; and
4-21 (b) The period during which the house or structure may be inspected
4-22 by prospective purchasers.
4-23 Sec. 5. NRS 393.260 is hereby amended to read as follows:
4-24 393.260 Notice of the adoption of the resolution and of the time and
4-25 place of holding the meeting [shall] , if required pursuant to the
4-26 provisions of paragraph (c) of subsection 2 of NRS 393.250, must be
4-27 given by:
4-28 1. Posting copies of the resolution in three public places in the school
4-29 district not less than 15 days before the date of the meeting; and
4-30 2. Publishing the resolution not less than once a week for 2 successive
4-31 weeks before the meeting in a newspaper of general circulation published
4-32 in the school district, if any such newspaper is published therein.
4-33 Sec. 6. NRS 393.270 is hereby amended to read as follows:
4-34 393.270 [At] Except as otherwise provided in section 1 of this act, at
4-35 the time and place fixed in the resolution for the meeting of the board of
4-36 trustees, [all sealed proposals which have] each sealed proposal that has
4-37 been received [shall,] must, in public session, be opened, examined and
4-38 declared by the board. Of the proposals submitted which conform to all
4-39 terms and conditions specified in the resolution of intention to sell or to
4-40 lease and which are made by responsible bidders, the proposal which is the
4-41 highest [shall] must be finally accepted, unless a higher oral bid is accepted
4-42 or the board rejects all bids.
4-43 Sec. 7. NRS 393.280 is hereby amended to read as follows:
4-44 393.280 Except as otherwise provided in section 1 of this act:
4-45 1. Before accepting any written proposal, the board of trustees shall
4-46 call for oral bids. If, upon the call for oral bidding, any responsible person
4-47 offers to purchase the property or to lease the property, as the case may be,
4-48 upon the terms and conditions specified in the resolution, for a price or
4-49 rental exceeding by at least 5 percent the highest written proposal, after
5-1 deducting the commission, if any, to be paid a licensed real estate broker in
5-2 connection therewith, [then] the oral bid which is the highest after
5-3 deducting any commissions to be paid a licensed real estate broker in
5-4 connection therewith, which is made by a responsible person, [shall] must
5-5 be finally accepted.
5-6 2. If a sale or lease is made on a higher oral bid to a purchaser
5-7 procured by an authorized, licensed real estate broker, other than the broker
5-8 who submitted the highest written proposal, the board shall allow a
5-9 commission on the full amount for which the sale is confirmed. One-half of
5-10 the commission on the amount of the highest written proposal [shall] must
5-11 be paid to the broker who submitted it, and the balance of the commission
5-12 on the purchase price to the broker who procured the purchaser to whom
5-13 the sale was confirmed. If a sale or lease is made on a higher oral bid to a
5-14 purchaser not procured by a licensed real estate broker, the board shall
5-15 allow one-half of the commission on the amount of the highest written
5-16 proposal, if [such] that highest written proposal was submitted by a
5-17 licensed real estate broker.
5-18 Sec. 8. NRS 393.290 is hereby amended to read as follows:
5-19 393.290 The final acceptance by the board of trustees may be made
5-20 [either at] :
5-21 1. At the same session [or at] held pursuant to the provisions of NRS
5-22 293.270;
5-23 2. At any adjourned session of the same meeting held within the 10
5-24 days next following[.] ; or
5-25 3. If the board of trustees is selling a house or other structure built
5-26 by pupils enrolled in a program of instruction offered by a public school
5-27 in the school district, at any public meeting held pursuant to the
5-28 provisions of section 1 of this act.
5-29 Sec. 9. NRS 393.300 is hereby amended to read as follows:
5-30 393.300 The board of trustees may [at] :
5-31 1. At the session[,] held pursuant to the provisions of NRS 393.270;
5-32 or
5-33 2. At any public meeting held by the board of trustees pursuant to the
5-34 provisions of section 1 of this act,
5-35 if it deems such an action to be for the best public interest, reject any [and
5-36 all bids, either written or oral,] bid, and withdraw the property from sale or
5-37 lease.
5-38 H